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PBC attacks international monetary system

Central Banking staff

14 Jun 2001

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UK - Strong criticism of the current international monetary system was expressed in a paper by an Assistant Governor of the People's Bank of China and delivered on his behalf at a conference on South-East Asia held at the Bank of England, 12 June.

Mr Li Ruogo's paper contained three main criticisms of the system:

First, wide fluctuations in exchange rates among major currencies had complicated the task of maintaining stability in small and medium-sized economies, and had led to a loss of monet